Abbott Suit (ASC) corporation manufactures BOTH nylon AND cotton jogging suits. On 1/1/20, Erin Rogers ESTIMATES the following fixed costs: Accountants salary $10,000 Depreciation on factory equipment $4,000 Rent on Manufacturing Facility $6,000 $20,000

ABBOTT SUIT CORPORATION USES DIRECT LABOR HOURS TO ALLOCATE DEPRECIATION AND RENT. Nylon Jogging Suits Cotton Jogging Suits Std.qty/suit Std.price/input Std.qty/suit Std.price/input Direct Materials 2.5 yds/suit $20/yd 4 yds/suit $15/yd Direct Labor 5 dlh/suit $10/dlh 4 dlh/suit $15/dlh VOH:utilities/grease/janitor 5 mh/suit $10/mh 8 mh/suit $10/m

ACTUAL RESULTS FOR JANUARY

4. On 1/1/2020, ASC purchased 10,000 lbs of grease at $100,000 for factory equipment in CASH. Give the journal entry (note: just because a company purchased grease in January does NOT mean it used grease in january). GIVE THE JOURNAL ENTRY.

5. Abbott made the following purchases for the year in January: Nylon 1,000 yards for $18,000; Cotton 1,000 yards for $14,000; Give the journal entry for this transaction and include ANY variances.

6. ASC workers requisitioned out the following from the RMI warehouse for JANUARY 2017: Nylon 150 yards; Cotton 300 yards; ASC workers made 50 nylon jogging suits and 80 cotton jogging suits in JANUARY. Give the journal entry for this transaction and include ANY related variances. SHOW YOUR WORK.

7. ASC workers worked the following during January (IN CASH). Nylon workers (260 dlh*$15/dlh); Cotton workers (300 dlh*$20/dlh); Janitor wages (100 hours for a total of $1,000) Accountant (200 hours for a total of $2,000). Give the journal entry for this transaction and include ANY direct labor-related variances. SHOW WORK